Invest like the sheikhs – is it worth it?

Qatar Motor Show 2011

The Qatar Investment Authority (QIA), the emirate’s sovereign wealth fund, also has carmaker VW in its equity portfolio, with a weighting of 17.1 percent.

(Photo: picture alliance/dpa)

Dusseldorf This deal paid off: When Porsche AG went public at the end of September, the Qatar Investment Authority (QIA), the emirate’s sovereign wealth fund, secured almost 23 million shares in the sports car manufacturer. At the issue price, the value of the shares was around 1.9 million. It’s now $2.3 billion.

While other investors debated whether the Volkswagen subsidiary’s valuation was fair or too high, the Qataris pounced. Anyone who followed their example as a private investor and bought shares in Porsche AG when the stock market went public achieved a return of 20 percent in six weeks.

So is it worth it for private investors to copy QIA’s investment strategy? Similar to how many investors try to replicate the portfolio of star investor Warren Buffett? An evaluation by the Handelsblatt shows a mixed picture – and a valuable insight.

Read on now

Get access to this and every other article in the

Web and in our app free of charge for 4 weeks.

Continue

Read on now

Get access to this and every other article in the

Web and in our app free of charge for 4 weeks.

Continue

source site-12